Sports Bookmaking Tax

Sports bookmaking is a form of gambling where a person places a bet on a sports event with a bookmaker (or “bookie”). While bookmaking is illegal in Minnesota, the value of any bet made or received is taxable.

Sports bookmaking involves more than five bets on sporting events over a 30-day period that total more than $2,500. If you place, accept, forward, or record a bookmaking bet, you owe 6% tax on the value of the bet.

You can file and pay the Sports Bookmaking Tax anonymously. You do not have to provide your name or other identifying information. You can pay with cash or another form of payment that cannot be traced to you.

If you do not file and pay, the Minnesota Department of Revenue may assess this tax based on personal knowledge or information we receive from other people or agencies. We may send a “demand to file” letter with the amount of tax you owe or we may serve the notice in person and demand immediate payment (Minnesota Statute 297E.03).

File and Pay

The Sports Bookmaking Tax is due on the 20th day of the month after you placed, accepted, forwarded, or recorded a bet.

To file your tax, complete Form SBT, Sports Bookmaking Tax Return. If you pay by check or money order, you must include a payment voucher. Mail your return and payment to us as directed on the form.

Note: We cannot reveal any facts you put in the Sports Bookmaking Tax Return or use the information in any criminal prosecution unless it involves taxes you owe.